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The function and importance of Indian Handicraft Industries in India Economy is very vital and its contribution is increasing steadily day by day. Today, this industry comes under the unorganized sector of village economy of India and even considered as the second biggest employment-creating sector after agriculture with abundant artisans engaged in craft work on a part-time basis. It is one of the few important industries in India that provides service to over 6 million artisans, along with a large number of women and people from the weaker sections of society.
Looking at the present scenario the present handicraft tradition of India is a perfect paradigm of integration between the traditional designs and modern techniques. Moreover, the rapid growing demand for Indian handicraft and gifts products have further helped this sector a full-fledged large scale organized industry that is booming day by day. Today, worth Rs 40,000 crore handicraft products are produced in a year and of this, products worth Rs 18,000 crore are exported to foreign countries such as United States, United Kingdom and Australia.
This sector even sector provides a high ratio of value addition, and has emerged as one of the major sources of foreign exchange earnings for India. Besides this, Indian handicrafts are much sought after the world over, and form an important export commodity of India. Moreover, to centralize and organize this sector, Indian government has also started the concept of 'Towns of Excellence' that are providing recognition to production areas where the handicrafts have been traditionally developed. At present, there are 35 urban 'Haats' all across the country, that permit for the allocation of built-up stalls to artisans on a fortnightly rotation basis at small price. Certainly, the handcrafts and craftspeople have played a vital role to play in modern India - not just as part of its cultural and tradition, but as part of its economic future.
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